Cute camel have in its preferred stock agreements

Assignment Help Financial Management

Reference no: EM131540045

Cute Camel Woodcraft Company currently pays preferred stockholders a dividend of $1.50 per share and common stockholders a dividend of $1.00 per share. If the firm wants to raise the common stock dividend to $2.00 per share, it will also have to raise the preferred stock dividend to $2.00 per share. Which type of provision does Cute Camel have in its preferred stock agreements?

A) A sinking fund provision

B) A participating provision

C) A call provision

Reference no: EM131540045

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